Rupee slumped 2.5% going past 49.50 to dollar, Gold softened by Rs.130 at 28010, Silver melted by almost 2000 rupees at Rs.63400, Brent oil showed weakness of 3% to settle at $106.80 per barrel and BSE Sensex melted by 700 points amid global fears.
Today BSE Sensex corrected in line with meltdown in global indices by 4% to end the day at 16360 points; NSE nifty slipped by little over 200 points to 4923 points.
Most notable among Asian market indices was Jakarta Composite which slipped by almost 10% to 3369, as investor shunned riskier economy stocks on global slowdown concerns.
Forex investors’ demand for the safe-haven US dollar surged to multi-month highs as rupee depreciated to panicky 49.50 to a dollar, leading to worsening of India’s deficit amid rising import parity cost. Despite crude oil prices correcting by 3.6%, the positive rub-off got negated on account of rising forex bills for crude imports.
After a considerate time interval, both bullion prices and equity markets have moved in the same direction i.e. downward move. Gold softened up by Rs.115 on the comexes, whereas Silver lost its white shine by almost Rs.1935 to quote at 63350 per 10 grams.